Mood: The mood of the video appears to be calm and contemplative, with a hint of melancholy. The theme seems to be related to love or longing, given the title 'Tera Khiyal'. The overall emotion evoked is one of introspection and possibly heartache.

Environment: The setting of the video seems to be outdoors, likely in a rural or natural environment, given the presence of a tree and foliage in the background. The atmosphere appears to be serene, with the man sitting comfortably against the tree trunk, suggesting a peaceful and possibly reflective setting.